Friday, July 30, 2010

How times have changed. With the resetting of the foodservice price value equilibrium well underway we are seeing company after company shed units that don’t generate profits and some companies are forced into Chapter 11 bankruptcy to resolve problems.

The most interesting is the success that 7 Eleven is finding. They are rolling out new units and have hired a team of business development professionals to assist them recruiting existing operators from competitors to join there team that is rolling out grocerant style ready-to-eat and ready-to-heat food to great success.

Both Bi Lo Grocery and Bashas filed in the grocery sector this year. Here are two companies stuck in the middle of the grocery niche without enough differentiation to stand out for consumers. The same occurred this week the 69 unit restaurant chain Daphne’s Greek Café. The casual dinning sector is experiencing difficulty along with most of the others in restaurant sector.

What is clear is foodservice companies that have quality better for you fresh prepared ready-to-eat and ready-to-heat food that is portable are continue to gain share.

Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven A. Johnson and Foodservice Solutions visit http://www.linkedin.com/in/grocerant or on Facebook at Steven Johnson or BING / GOOGLE: Steven Johnson Grocerants

Thursday, July 29, 2010

If success leaves clues and listening is a key to success then we all need to listen when grocery store category managers refer to the freezer aisle turning into the new restaurant "frozen food court". Pizza manufacture and co-packer Palermo Villa in Menomonee Valley, Wisconsin has seen annual growth of about 5 percent over the last four or five years.

Channel blurring only exists in the BLIND eye of Neanderthal restaurant brand managers. Today restaurant brand managers must understand their brand and their customers. If they do; they can integrate marketing plans that complement their customers while intersecting with the brand in multiple channels of distribution.

Walmart, Costco, Kroger, Safeway each has incorporated a "frozen food court" in the frozen food aisle. Utilizing both national and regional restaurant branded food. Boston Market, TGI Friday's, PF Chang's, California Pizza Kitchen and now Burger King are the most-thorough players with complete or nearly-complete programs at retail. But many restaurants are either looking at leveraging their brands or are jumping in feet first, including Romano's Macaroni Grill, El Pollo Loco, Captain D's, and O'Charley's, while others are trying it with dipping their toes in, The grocer and the restaurant brand all garner additional top line revenue and bottom line profits.

Repeated evidence shows that the distinction in differentiation is a value of the brand. Leveraging that value within additional retail segments is simply contemporary consumer relevance. Is your brand relevant? Foodservice Solutions specializes in outsourced business development; we can help you identify, quantify and qualify additional food retail segment opportunities and brand leveraging integration strategy.

Join me here for insights, information and inspiration. Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven A. Johnson and Foodservice Solutions visit http://www.linkedin.com/in/grocerant or on Facebook at Steven Johnson.

Wednesday, July 28, 2010

As long as multi- generational family’s gather for meals together, the demand for more divergent flavors will continue to permeate. Grocerant style food offerings allow for increased family integration, understanding and acceptance.

Consumers have been exposed to a plethora of flavors and have not the time to master the skill of cooking each. This growing trend is empowering the consumer to establish new customs and traditions in eating better, more flavorful food. The Grocerant niche is about convenient meal participation, differentiation and individualization.

What’s for dinner? If your cooking for an at home family meal for two, three, four, or five family members, chances are very good your buying several ready-to-eat or ready-to-heat food components. Grocery stores, convenience stores and restaurants are all bundling fresh prepared meal components for the home cook. The home cook is responding, buying individualized components. Manufactures are rushing in with new menu items, packaging and portion sizes.

Grocerant niche food retailers have an understanding of the unique balance between palate, price, pleasure and the consumer’s drive for qualitative distinctive differentiated new food consumables. Which is one of the main reasons that this nice continues to flourish during this period of economic disruption. The food value proposition equilibrium for the consumer today balances; better for you, flavor, and traditional products all blended into something with a twist.

In industry speak, differentiated does not mean different to the consumer it means familiar. That is where the Grocerant niche falls, it is consumer inspired, component driven and flavor familiar.

Alice May Brock said:”Tomatoes and oregano make it Italian, wine and tarragon make it French, sour cream makes it Russian, lemon and cinnamon make it Greek, soy sauce makes it Chinese, garlic makes it good.” I say: grocerant meal components bundled and portable make a family meal, a happy meal!

Grocerants food retailers allow customers to select from Italian, French, Russian, Greek etc. and utilize the components at home any way they like. The new American meal can be a composite of any prepared food components including entrée’s, side dishes, sauces and deserts that the individual may want and they can mix and pair them any way as well. Our society is a composed for people from all over the world, with different cultures, traditions and flavor preferences. The new American meal is a melting pot of flavor and choice.

Prepared ready-to-eat and ready-to-heat foods are now available for all and can be found at Convenience stores, Grocery stores, Restaurants, Mobile trucks all just waiting for the taking.

Foodservice branded and private label food manufactures are all vying for your attention. Ready-to-eat and ready-to-heat foods from swiss steak, meatloaf, baked salmon, rotisserie chicken, pizza and lasagna fresh prepared, portioned and portable in portions for one, two,, three or five are now available at most foodservice retail location. Most exciting is the opportunity for new start-up’s and regional manufactures to produce sustainable business built on local, fresh and unique flavor profiles. Legacy national brand manufactures are experiencing an increased consolidation and acquisition activities. They have taken there eye off the customer and increasing are missing many of the new points of grocerant food distribution.

Consumer are responding buying both private label and branded meal components in new food channels, experiencing new flavor profiles all the while individualizing the family meal. The foodservice industry is evolving with the consumer. For those companies looking for an opportunity for growth times have never been better.

Grocerants create happy meal times, by expanding the melting pot! In fresh prepared food, mix and match components and portability are required options. Understanding creating or identifying distinctive differentiated food consumable’s as an entity with identity by day part is an area that the fresh prepared grocerant food companies are excelling.

With a different view of the industry and the consumer the grocerant niche is bring new light and needed growth to the retail food industry via redevelopment and deployment of new products. Grocerant specialist can work with you to identify distinctive differentiated food consumables.

Success leaves clues; transformational times require focus and experience with a qualitative edge. Grocerants ready-to-eat and ready-to-heat food, should be the next step in your organizations success.

Foodservice Solutions of Tacoma, WA is the global leader in the Grocerant niche. More about us: http://www.linkedin.com/in/grocerant or leave a comment or question below. For more information on the success of the fresh prepared food niche Bing or Google: Steven Johnson Grocerants

Tuesday, July 27, 2010

Supermarkets, Grocery stores, Convenience stores and restaurants have all been touting freshness, local, sustainable food. All trying to garner favor with consumers. Many utilize Limited Time Offers or LTO’s to push fresh local product or ingredients. In each case the LTO’s scream come here, I’am better for you!

Fresh & Easy Neighborhood Market is now expanding it popular “Farm to Store in 24” program. The program focus is to bring produce from California farms to its stores in less than 24 hours from the time it was harvested. This summer, Fresh & Easy has been offering strawberries and table grapes through the program

Now the hybrid prepared food retailer which is truly a cross between a convenience store and a grocery store is working to bring fruit such as peaches, nectarines and apples and fall vegetable into the program summer nears it end.

“Getting produce from the farm to the store in 24 hours or less is an incredibly tricky task, which makes it important to partner with strong local growers who share our commitment to quality produce,” Justin Hill, Fresh & Easy’s produce manager, said in a statement. “We are working closely with these growers here to put in the extra care required to expand our ‘Farm to Store in 24’ offerings whenever we can.”

The halo affect of Authentic Sustainable FOOD FRESH and FAST has rolled over to the grocerant prepared fresh food. The consumer can and does extend the halo of fresh from the “Farm to Store in 24” too the fresh prepared food products as well. Fresh & Easy is catching on!

Outside eyes can deliver top line insights and bottom line profits. Invite Foodservice Solutions to provide brand and product positioning assistance or a grocerant program assessment. Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven Johnson BING or Google: Steven Johnson Grocerants

Monday, July 26, 2010

Brand managers at some the nations largest Convenience stores have watch, learned and are now turning the tables on the QSR’s chain restaurants. Utilizing the 5 P’s of retail foodservice marketing; Product, Packaging, Placement, Portability and Price they are competing at each consistently.

Here is three examples from coast to coast first John Schaninger at QucikChek at is doing things right with two new lines of snack sized sliders and oven baked pizza. The menu places them directly in the line of QSR’s with items like Black Angus Roast Beef & Cheddar, Bourbon BBQ Pulled Pork and Turkey Sloppy Joe sliders. That’s not your Fathers convenience store food.

BP’s ampm marketing team is running billboards along the freeways in Los Angeles promoting its new Mexican sandwiches. The billboard ads ask passersby to go to the chain’s Facebook page to “Check out the ampm Secret Menu.”

The Secret Menu that ampm is calling “Yums” – “include the Hot Chihuahua, the Tower of Torta, the Towering Inferno and the just-released Chili Conquistador -- all varied combinations of “too much” meat stuffed into some form of bun”

Tedeschi Food shops has one of my personal favorite menu items for breakfast they are “Omelets in a Wrap. They have a Western, Spanish, Cheese and Steak all traditional product but with just a twist of contemporary consumer relevance.

Outside eyes can deliver top line insights and bottom line profits. Invite Foodservice Solutions to provide brand and product positioning assistance or a grocerant program assessment. Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven Johnson BING or Google: steven johnson grocerants

Saturday, July 24, 2010

In a recent report by the Food Marketing Institute (FMI) the legacy “meal solutions’ or grocerant niche is now “valued at about $ 1 trillion dollars” in the US alone. Tthe grocerant ready-to-eat and ready-to-heat prepared food niche growing the fastest! What they did not say in there report was US food retailing is in the process of returning to it roots!

The first 200+ years of this country food was produced and sold in local neighborhood markets. With the opening of the new Union Square Duane Reade Drug Store (soon to be Walgreens) we obtain a view of the future of US food retailing.

The store was designed to fit into a (any) local neighborhood. It’s light and airy, wide-aisle for ease of view shelving. This particular stores has everything for “New Yorkers' growing appetite for healthy food choices while on the go. A dedicated food section includes everything from sushi and sandwiches to fresh baked breads and healthy snacks.” Yes, this is a retail Drug store selling local fresh prepared food that is deemed “better for you”. Target pictured above is quickly moving into retail fresh prepared food.

Additionally this store has,” jumbo baked goods, as well as a cheese section and self-service coffee bar will be offered to shoppers with a taste for such treats. A refrigerated section will feature on-the-go meals, and there is a station for cut fruits, oatmeal, cut vegetables and pre-made salads and sandwiches.”

On the go one stop shopping LOCAL, FRESH PREPARED FOOD IN THE NEIGHBORHOOD. This is the way it was done years ago at the “general store”. Duane Reade is positioned to be quicker, fresher and better for the consumer than a traditional grocery store. Price and quality will prove challenging too many a restaurant chain.

Outside eyes can deliver top line insights and bottom line profits. Invite Foodservice Solutions to provide brand and product positioning assistance or a grocerant program assessment. Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven Johnson BING: Steven Johnson Grocerants or Google: Steven Johnson Grocerants

Jenn Tekin of Package facts recently stated “During the height of the recession, fresh convenience food marketers and retailers spotted an opening. Seeing their main competition coming from the restaurant industry (instead of less costly unprepared food), many retailers began to compete more heavily on price without cutting back on the process of innovation in quality and convenience that had been underway for more than a decade. According to the report, these efforts proved successful, spurring a shift by many consumers from restaurant meals to prepared food purchased at retail outlets.”

In fact she continued “Fresh Convenience Foods in the U.S., the market for fresh convenience foods grew by 5% in 2009 to reach sales of $22 billion. Packaged Facts expects these marketing and merchandising efforts to continue to prove successful over the short term, driving sales of fresh convenience foods up another 28% by 2014 to $29 billion.

Success leaves clues and while many in the retail foodservice industry continue to struggle. Those retailers incorporating the 5 P’s of retail foodservice will continue to see top line sale grow and bottom line profits increase.

Outside eyes can deliver top line insights and bottom line profits. Invite Foodservice Solutions to provide brand and product positioning assistance or a grocerant program assessment. Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven Johnson BING: Steven Johnson Grocerants or Google: Steven Johnson Grocerants

Thursday, July 22, 2010

The grocerant niche simply shows no sign of slowing down its rate of growth! Now estimated in size at ONE TRILLION dollars in sales by Food Marketing Institute (FMI). This niche which has been chronicled by Foodservice Solutions since 1991 has now hit full stride.

While many restaurant chains find themselves in a quagmire of there own making with stifled growth. Convenience stores and many grocery stores are posting strong year over year retail fresh prepared food sales. In fact the prepared fresh food niche has been so successful that Walgreens, Amazon and Sears are all expanding there reach into food retailing.

A recent article on the sector Sheetz one of the sector leaders based in Pennsylvania with 374 locations said “it had foodservice sales of $359.5 million from 363 stores for its latest completed fiscal year ended in September 2009. That reflected a year-over-year sales increase of 7.73 percent from a 3.95-percent gain in average sales per unit, to $1.01 million, and a 3.71-percent rise in number of locations.”

Wawa it is reported is expanding into the Florida market in 2001 and 7 Eleven currently is testing up to 60 SKU’s of fresh prepared food in five US markets. In addition 7 Eleven has rolled out fresh pizza at over 1,000 of it’s US based stores.

While many in food retail have struggled over the past several years with positioning, pricing and product problems most in the grocerant niche have not. Those within the grocerant niche continue to see top line sales growth and bottom line profits. Are your foodservice sales up 7,73 %, if not it’s time to ask why.

Outside eyes can deliver top line insights and bottom line profits. Invite Foodservice Solutions to provide brand and product positioning assistance or a grocerant program assessment. Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven Johnson BING: Steven Johnson Grocerants or Google: Steven Johnson Grocerants

Wednesday, July 21, 2010

Phil Romano a legendary restaurateur whose success was built with restaurant concepts that were both interactive and participatory for the consumer would love the new Chicago, Roundy’s Supermarkets Mariano’s Fresh Market. Highlighting grocerant fresh prepared ready-to-eat and ready-to-heat food Mariano’s Fresh Market hits the mark.

Bob Mariano, chairman and CEO of Roundy's Supermarkets Inc., speaking about the new store at Northwest Highway near Kensington Road in Chicago “Customers may be ready some days to prepare everything from scratch," he said. "Other times they want to assemble lunch or get something already done for them. That's the lifestyle of our customer base. It could be the same person doing different things different parts of the week."

Grocerant ready to eat food can be found just inside the front door fresh coffee, gelato and fried dough stand, the you will find brick oven for thin-crust or oven-baked pizza and a sushi bar.

The fish department staff can provide information on the type and freshness of each fish but the nice part is customers can have their catch steamed or grilled in the store. Now that is interactive and participatory.

Bob Mariano is a consummate merchant; his success is based on understanding the food consumer’s price value equilibrium. He stated "We price it to sell. It does us no good to put fresh product out here and throw it away. Customers will find that the prices will be quite competitive."

The Grocerant niche continues to grow. Success does leave clues and let me say thank you Phil Romano for introducing this niche to me O....’so many years ago! You have contributed to my success and so many others! Most importantly I am sure retail food consumer thank you!

Invite Foodservice Solutions to provide brand, product, positioning assistance or a grocerant program assessment. Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven Johnson BING: Steven Johnson Grocerants

Tuesday, July 20, 2010

In the July/August 2010 Restaurant Briefing sponsored by American Express The NPD’s Group restaurant industry analyst Bonnie Riggs was quoted in an article titled Competition from Aisle 7 “It’s time to take notice” speaking of the legacy “meal solution” niche. That niche is now known as the Grocerant niche!

In a recent report by the Food Marketing Institute (FMI) the legacy “meal solutions’ or grocerant niche is now “valued at about $ 1 trillion dollars” in the US alone! It never to late too jump into a growth niche. One question please; where was NPD during the first TRILLION DOLLARS OF SALES?

Nancy Kruse president of the Kruse company has monitored the menu development and evolution within the grocerant niche for quite some time. She has continually spoken out about the progression and viability of the niche.

Technomic was early in researching the niche in the late 1990’s and continues to publish a monthly report read by successful grocerant niche players today. The report is the RMS Monitor; the RMS stands for Retailer Meal Solutions however the focus in as contemporize a grocerant report as you will find in the industry. Success leaves clues and Technomic research has long been leading voice and continues following tracking the grocerant niche.

Readers of this blog know Steven Johnson has been consulting, writing and talking about this niche longer than anyone else in the industry. Thank you FMI for benchmarking our $ 1 trillion dollar niche mark!

Join me here on my blog for insights, information and inspiration. Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven A. Johnson and Foodservice Solutions visit http://www.linkedin.com/in/grocerant or on Facebook at Steven Johnson.

Monday, July 19, 2010

If one were to look at the Florida market, it would be easy to see how Publix could utilize their strengths in buying power, distribution and prime real-estate to start another authentic high quality chain. That is exactly what they are doing, this time in the restaurant niche. Publix’s ability to deliver with Crispers on the brand promise of authentic fresh salad concept has been proven.

Publix’s Grocery store has established a legacy of success in the Grocery sector. They are very proactive in developing within the grocery store footprint. Regionally developing customer focused grocerant prepared food that is bundled and sold as meal components. These professional ready-to-eat and ready-to-heat prepared foods offering were obviously steps too the success they are finding in the fast growing restaurant concept Crispers that they developed.

Publix understands that a brand is a promise, leveraging buying power, distribution system and knowledge of the market, Crispers is positioned to grow. While other national grocery retailers build Convenience stores. Publix is setting an example for other the likes of Wegmans, Safeway, Harris Teeter and others.

The convenience store sector is doing the same under with Sheetz leading the way with great grocerant food and free standing restaurant concepts of their own. Restaurant operators must hone there skill set to maintain an edge in the marketplace.

It will not be long before they role out the second concept focused on authentic and fresh as well. I suggest that it will be a Seafood dinner house. Publix can propel growth via a smaller footprint in a Seafood dinner house with the same focus on product quality, innovative décor and leveraging again there buying power and distribution system

Join me here on my blog for insights, information and inspiration. Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven A. Johnson and Foodservice Solutions visit http://www.linkedin.com/in/grocerant or on Facebook at Steven Johnson.

Friday, July 16, 2010

Steven Johnson of Tacoma, WA based Foodservice Solutions believes that Differentiation dose not mean different it means familiar but with a twist in retail foodservice. Consumers young and old are demanding more choice. Today that means they are looking for choice in different ways, at different times.

Grocery stores, Restaurants, Convenience stores, Dollar Stores, Mobile food trucks and Kiosk are all improving the quality of the food that they sell. The questions is; what is quality? Is it better for you foods, meaning less fat, less salt, fewer calories, or a smaller portion?

Within the grocerant niche we understand the successful role of each within your niche. Packaging, portability and plate presentation contribute significantly to the success of new product or LTO’s. What role does food & food product authenticity play in the relationship to the consumer choice for success in your new menu item?

Consumer want to feel connected to you brand and your brand must remain relevant in the minds eye of the consumer. Outside eyes can deliver both top line growth and bottom line profits for positive results.

Join me here on my blog for insights, information and inspiration. Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven A. Johnson and Foodservice Solutions visit http://www.linkedin.com/in/grocerant or Google: Steven Johnson Grocerants.

Wednesday, July 14, 2010

Brand managers for legacy food retailers are not sleeping like they used too. Fresh prepared food brand managers are now creating top of mind consumer products that drive both sales and frequency. Tesco’s fresh food brand managers have now created the worlds first lasagna sandwich!

Creating or identifying distinctive differentiated food consumable’s as an entity with identity by day part is an area Foodservice Solutions of Tacoma, WA excels at. Understanding the unique balance between palate, price, pleasure and the consumer’s drive for qualitative distinctive differentiated new food consumables places Foodservice Solutions and Steven Johnson in a select industry grouping.

Tesco obviously is utilizing highly skilled private label brand managers to propel the booming fresh prepared food grocerant niche to an even higher industry status. The food value proposition equilibrium for the consumer today balances; better for you, flavor, and traditional products all blended into something with a twist. In industry speak, differentiated does not mean different to the consumer it means familiar.

Tesco’s lasagna sandwich hits the mark! Success leaves clues and utilizing brand managers to create a meal entity with identity as a limited time offer will garner top of mind consumer trial while increasing frequency.

Invite Foodservice Solutions to provide brand and product positioning assistance or a grocerant program assessment. Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven Johnson BING: Steven Johnson Grocerants

Steven Johnson of Tacoma, WA based Foodservce Solutions thinks that it is time for retail foodservice to utilize Sous-Vide in fresh prepared settings for on the go meals. Companies like Walgreens, CVS, Wawa, Sheetze and 7 Eleven must look at new meal bundling options utilizing Sous-Vide.

Sous-vide (IPA pronunciation: [su: vi:d]), French for "under vacuum", is a method of cooking that is intended to maintain the integrity of ingredients while capturing the full flavor of the food. Sous-vide cooking uses airtight plastic bags placed in hot water well below boiling point (Usually around 60°C = 140°F) in restaurant settings.

The method was developed by Georges Pralus in the mid-1970s for the Restaurant Troisgros (of Pierre and Michel Troigros) in Roanne, France. He discovered that food cooked in this way kept its original appearance, did not lose its nutrients and maintained its natural texture. The method is used here in the US in a number of top-end restaurants under Thomas Keller, Paul Bocuse, Joel Robuchon and Charlie Trotter and other chefs. Non-professional cooks are also beginning to use vacuum cooking.

Both Culinary Brands and WR Grace entered fresh prepared Sous-vide products at one time during the late 80’s & early 90’s and both sold their operations due to lack of profitability. With the cost of labor on the rise, health care and increasing obstacle it just may be time for resurgence for Sous-vide. Grocerant ready-to-eat and ready-to-heat fresh prepared food is in demand. Note: Sous-vide must be fresh not frozen.

Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven A. Johnson and Foodservice Solutions visit http://www.linkedin.com/in/grocerant. Google: Steven Johnson grocerants

Tuesday, July 13, 2010

As long as multi- generational family’s gather for meals together, the demand for more divergent flavors will continue to permeate. Grocerant ready-to-eat and ready-to-heat food offerings allow for increased family integration, understanding and acceptance.

Understanding the unique balance between palate, price, pleasure and the consumer’s drive for qualitative distinctive differentiated new food consumables places me in a select industry grouping. The food value proposition equilibrium for the consumer today balances; better for you, flavor, and traditional products all blended into something with a twist.

In industry speak, differentiated does not mean different to the consumer it means familiar. That is where the Grocerant niche falls, it is consumer inspired, component driven and flavor familiar.

Understanding, creating or identifying distinctive differentiated food consumable’s as an entity with identity by day part in an area I excel. Outside eyes can bring new light and assist in your pace of concept growth, redevelopment and deployment of new products. Grocerant specialist can work with you to identify distinctive differentiated food consumables.

Invite Foodservice Solutions to provide brand and product positioning assistance or a grocerant program assessment. Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven Johnson BING: Steven Johnson Grocerants

Monday, July 12, 2010

In shop class the teacher always said measure twice then cut! Under new leadership that is inspired, informed and in-focus, it’s obvious 7 Eleven has studied the consumer, the marketplace and its own positioning. This weekend with summer just hitting its stride 7 Eleven gave away; yes for fee it’s number one legacy branded product the Slurpee!

This was neither marketing genius nor luck it was planned, timed and positioned to complement and compel consumers to come in and come back!

Dan Ariely In his book Predictably Irrational, said:

“Most transactions have an upside and a downside, but when something is FREE! We forget the downside. FREE! Gives us such an emotional charge that we perceive what is being offered as immensely more valuable than it really is.”

That is exactly what this promotion will do. It will increase visit over next several weeks of summer creating a spike in Slurpee sales generating top line revenue and bottom line profits. Success does leave clues and 7 Elevens marketing tool kit has the tools to propel growth. This particular tool will garner the frequency to assist 7 Eleven in rollout and introduction of fresh prepared food.

7 Eleven has studied the industry, the consumer and understands the future of the company is in the grocerant niche filled with better for you fresh prepared food that is portable. With concurrent test ongoing around the world. There is no doubt 7 Eleven is positioning to lead not follow within the convenience store sector. Clearly 7 Eleven has studied the industry, the consumer and is positioned to garner marketshare.

Outside eyes can deliver top line insights and bottom line profits. Invite Foodservice Solutions to provide brand and product positioning assistance or a grocerant program assessment. Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven Johnson BING: Steven Johnson Grocerant

Friday, July 9, 2010

Harkin back to the days that employee’s uniforms were black & white. Employees all dawned paper hats, a time that the roller grill was introduced and ready-to-eat hot prepared food was new to the Convenience store channel.

It was a time when the availability of food staples in extended hours of operations drove sales in this dynamic channel. The Convenience store channel continues to be dynamic, currently it is booming with fresh prepared ready-to-eat and ready-to-heat food, what I call the grocerant sector.

I believe that differentiation does not mean different it means familiar within each food niche and this one is no different. Consumers young and old are demanding more choice, fresher quality and more contemporary food options. Fresh prepared food fits that niche to a Tee!

C-store global leader 7-Eleven has downplayed the roller grill recently while focusing on Stay Fresh Bananas, Pizza, Chicken Wings, Salads and Sandwiches. They are testing in new pilot stores their “latest insights into market trends to provide a range of 45 freshly prepared food products, including a hot breakfast menu and toasted sandwiches cooked to order.” This test includes a “café-esque range of hot lunch alternatives and will combine with Lavazza to offer barista-made coffee.”

Sheetz & Wawa both offer a full range of fresh prepared food choice including fresh salads and fruit options. Good companies do good things over and over again. Wawa CEO Howard Stoeckel detailed several efforts the convenience store chain is undertaking in during the economic slump the US is in, He stated "we're performing better than the vast majority of retailers," Fresh prepared ready-to-eat and ready-to-heat food products are strongly contributing to on-going sales and profit success

Will fresh win out over the roller grill or will legacy operators cling stay within their current comfort zone rather backing consumer focused fresh program. If success leaves clues one just might be that franchisee may want to Harkin back but will follow the customer all the way to the cash register. The visceral image of the roller grill may hold back more customers than it brings in. That is the reality of today.

Outside eyes can deliver top line insights and bottom line profits. Invite Foodservice Solutions to provide brand and product positioning assistance or a grocerant program assessment. Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven Johnson BING: Steven Johnson Grocerant

Thursday, July 8, 2010

The grocerant niche filled with ready-to-eat and ready-to-heat fresh prepared food continues to propel retail foodservice building top line sales while contributing to bottom line profits. The Grocerant niche is about convenient meal participation, differentiation and individualization.

Consumer continue to be time starved and searching for fresh convenient options Two particular attributes that resonate with consumer are package size and packaging that is resealable.

Healthy snacking is becoming mainstream with both adults and children. The ability to cross merchandize the same product to an adult as a work snack and better for you alternative for children is garnering attention from manufactures and retailers alike.

Single serve portions of any item seem to be flying off the shelf. These items fly off the shelf particularly well if they are capped at 100 calories per pack. In most cases these are snack or between meal items. The ability for a family to mix and match flavors and items is an additional bonus.

The ability to reseal a package, including a single serve item is an additional attribute that consumer are responding well too. The grocerant niche is benefiting the most from these trends and the results can be seen converging in the fresh food isle of retail foodservice operators.

The ability for a family to select from a single controlled portion of salmon, meat loaf or salad bundling entrée’s ala entire family meal with customization while allowing for individualization is driving the consumer back to grocery deli/ fresh food sections.

Outside eyes can deliver top line insights and bottom line profits. Invite Foodservice Solutions to provide brand and product positioning assistance or a grocerant program assessment. Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven Johnson BING: Steven Johnson Grocerants or Google: Steven Johnson Grocerants.

Wednesday, July 7, 2010

Category Managers be Dammed it’s not about legacy metric’s it about the customer! Amazon entrance into UK retail food is a wake up call for US food retailers!

Winston Churchill once stated: “However beautiful the strategy, you should occasionally look at the results”.

With a successful test in retail food delivery in Seattle under its belt, Amazon is now entering Great Britain with food delivery. Amazon is know as a company that does it research first then moves into a new niche. I most cases they are right! Clearly legacy food retailers have been paying attention to legacy industry metric’s not consumers. Thus opportunity Amazon, this is the same phenomena driving the grocerant niche of fresh prepared food to new heights.

With a keen eye on the consumer, US based food retailers must now understand a shift in consumer spending patterns has resulted in new opportunity for other major retailers to enter food retailing. Sears is testing delivery in New York and Target is expanding fresh food in more and more markets. 7 Eleven is now selling fresh prepared food in five US markets and preparing to rollout across the entire country. Walgreens and CVS are also testing fresh food format’s.

Amazon’s web grocery store will offer 22,000 brands and represents a direct threat to the dominance of some of the worlds largest and best known specialist internet supermarkets, Tesco, Asda, Sainsbury's and Ocado. It’s a simple strategy, cherry pick on price and quality of service!

Amazon will next increase fresh prepared food offerings to drive frequency and build loyalty. Ready-to-eat and ready-to-heat fresh prepared food will contribute to the success of Walgreens, Sears, Amazon, 7 Eleven. Someone is going to lose? Where will your brand be?

Winston Churchill once stated: “However beautiful the strategy, you should occasionally look at the results”.

Outside eyes can deliver top line insights and bottom line profits. Invite Foodservice Solutions to provide brand and product positioning assistance or a grocerant program assessment. Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven Johnson BING: Steven Johnson Grocerants

Tuesday, July 6, 2010

If success leaves clues and listening is a key to success then we all need to listen when grocery store category managers refer to the freezer aisle turning into the new restaurant "frozen food court".

Channel blurring only exists in the BLIND eye of Neanderthal restaurant brand managers. Today restaurant brand managers must understand their brand and their customers. If they do; they can integrate marketing plans that complement their customers while intersecting with the brand in multiple channels of distribution.

Walmart, Costco, Kroger, Safeway each has incorporated a "frozen food court" in the frozen food aisle. Utilizing both national and regional restaurant branded food. Boston Market, TGI Friday's, PF Chang's, California Pizza Kitchen and now Burger King are the most-thorough players with complete or nearly-complete programs at retail. But many restaurants are either looking at leveraging their brands or are jumping in feet first, including Romano's Macaroni Grill, El Pollo Loco, Captain D's, and O'Charley's, while others are trying it with dipping their toes in, The grocer and the restaurant brand all garner additional top line revenue and bottom line profits.

Repeated evidence shows that the distinction in differentiation is a value of the brand. Leveraging that value within additional retail segments is simply contemporary consumer relevance. Is your brand relevant? Foodservice Solutions specializes in outsourced business development; we can help you identify, quantify and qualify additional food retail segment opportunities and brand leveraging integration strategy.

Join me here for insights, information and inspiration. Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven A. Johnson and Foodservice Solutions visit http://www.linkedin.com/in/grocerant or BING: Steven Johnson Grocerants

Monday, July 5, 2010

Consumer discontinuity is being discussed daily in chain restaurant offices. As a consultant I hear regularly from clients that “our consumer is not doing what they have always done”. I have but one simple reply, your consumer is not the same as her/she was a year ago and neither should your brand be.

The Confluence of on-going consumer knowledge about food, recent restaurant industry growth and concept sameness combined with the economy allowed trepidation too crept into restaurant executive planning meetings and board rooms across the industry in 2008. In far too many companies the cry was for wait and see or as I like to say a prevalence of mediocrity and complacency at the C-level. As an industry our concern is and should be share of stomach, first by company, second by niche-marketshare and third the restaurant industry overall.

The economy is not our largest problem it is competition for share of stomach; specifically by the ready-to-eat prepared meal section of the grocery stores and Convenience stores. Under reported but significantly noted first in 2005. That was the first year that recorded a consumer increase in percent household spending for food in grocery stores and away from restaurants in 25 years.

Yes, this shift has been slow but it has continued since 2005. This was the first such directional move in 25 years, or the golden age of chain restaurants. The timing of this is important these were the boom years for the restaurant industry. During that period we witnessed double digit growth in new units with most tier one players.

It is important to note that in the past 10 years the average grocery store has dropped or discontinued carrying 15,000 Sku’s (individual food ingredients) which is equal to two isles. They replaced them with less than 200 ready-to-eat prepared food products and entire meals components (they say restaurant quality).

On top of that they have integrated the ready-to-eat and multi-components food products foods into national advertising and weekly flyers. YES, an ilk equivalent to a restaurant meal bundled and priced very competitive. Harris Teeter once described its remodeled stores salad bar and hot food as CASH COWS, Safeway stock is booming with the proven results from their ongoing remodel prepared food focused outlets. It must also be noted here that during that 15 year period while the US population was booming, grocery stores also lost 25,000 units while the restaurant industry grew by 200,000 plus outlets.

The grocery prepared food Industry leadership is being driven by European retailers who by the way are doing and outstanding job in Europe. Three of specific note are Marks & Spencer, Tesco and Trader Joe’s with “tonight’s dinner” mostly refrigerated or quick chilled which blend their store brands with branded ingredients and simultaneously put their prepared meals on par with homemade.

This of course places a halo that shines over all their prepped meals. This initiative can best be called convenient meal participation; it’s interactive and inviting for consumer; providing homemade touches and personal satisfaction. I see this as extremely compelling and competitive for the restaurant industry and I suggest this is not a fad but a trend that is now 24 years in the making and counting that started in 1985 with HRM and has progressed into a full fledged battle for the consumer’s food dollar.

The race for the consumer is transformational with more competitive points of distribution opening up all of the time. The traditional metrics for measuring success at chain restaurants is currently being challenged by the success of chains like; Buffalo Wild Wings, Taco Del Mar, and Papa Murphy’s. These firms have carved out niche’s based on purpose, choice, convenience and price. Realism is reflected in the customer counts and continued sales numbers for these companies.

The economy is a focus now, however since 2005 clear indicators are now providing a picture or what is important and changing with our consumer habits particularly HOW THEY EAT, WHEN THEY EAT, and WHY THEY EAT. Most notable is the change in consumer vision and role of food: including social eating, eating economical, environmental eating and eating for personal benefit! Yes personal benefit only in America do consumer goes on diets to eat their way thin!

Recently two chains particularly have addressed these issues and seem to be having success; Starbucks and Cheesecake Factory. Both companies have had dramatic overhaul of menu and positioning are now recovering building new and additional loyal customers. These examples are just two that many others can utilize as examples of success.

Our industry is strong and agile I am rooting for all to survive and thrive in 2009. It may not be easy but we have the talent, experience and tenancy to win! The confluence of events may in fact force our industry to look at how we run our business. It will not however force us to stick to outdated metrics, methods or models. Yes, “times they are a changing”. The challenge is to recapture share of stomach. The grocery industry particular has spent millions studying restaurant quality food, levels of service, packaging and product positioning. They have a wealth of knowledge and it is in play. The restaurant industries legacy of innovation combined with our ability to get products to market faster, places us first in the minds eye of the consumer. That combined with our sure will to win will lead us out of this malaise we currently find ourselves in.

Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven Johnson and Foodservice Solutions visit http://www.linkedin.com/in/grocerant or BING:Steven Johnson Grocerants

Sunday, July 4, 2010

Outside eyes can deliver top line insights and bottom line profits. Invite Foodservice Solutions to provide brand and product positioning assistance or a grocerant program assessment. Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven Johnson BING: steven johnson grocerants or Google: steven johnson grocerants.

Friday, July 2, 2010

Alice May Brock said: “Tomatoes and oregano make it Italian, wine and tarragon make it French, sour cream makes it Russian, lemon and cinnamon make it Greek, soy sauce makes it Chinese, garlic makes it good.”

I say: grocerant meal components bundled and portable make a family meal, a happy meal!

Grocerants allow customers to select from Italian, French, Russian or Greek and utilize the components at home any way they like. The new American meal can be a composite of any prepared food components that the individual may want and they can mix and pair them any way as well. Our society is a composed for people from all over the world, with different cultures, traditions and flavor preferences. The new American meal is a melting pot of flavor and choice.

Prepared ready-to-eat and ready-to-heat foods are now available for all comers and can be found at Convenience stores, Grocery stores, Restaurants, Mobile trucks all just waiting for the taking.

Consumers have been exposed to a plethora of flavors and have not the time to master the skill of cooking each. This growing trend is empowering the consumer to establish new customs and traditions in eating better, more flavorful food. The Grocerant niche is about convenient meal participation, differentiation and individualization.

Outside eyes can deliver top line insights and bottom line profits. Invite Foodservice Solutions to provide brand and product positioning assistance or a grocerant program assessment. Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven Johnson BING: steven johnson grocerants or Google: steven johnson grocerants.

Thursday, July 1, 2010

Tiffani Washington spokeswoman for Walgreen confirmed the “test and said the fresh food initiative could help the drugstore chain be eventually seen as " destination for tonight's meal."

Foodservice Solutions on this blog repeatedly has reported that this is what Walgreen's was about to do. We are convinced that if done correctly this test will prove successful and assist in propelling Walgreen to a new level in retail sales.

Veronica Dagher of Dow Jones Newswire said in an article today that “Walgreen's offering is expected to lead to a much bigger push into the fresh food sector for the company. In turn, the people say Walgreen will likely be selling meals such as chicken Marsala, macaroni and cheese and General Tso's chicken.”

Success leaves clues and Walgreens has picked up on the success clues particularly when it comes to retail foodservice.

Outside eyes can deliver top line insights and bottom line profits. Invite Foodservice Solutions to provide brand and product positioning assistance or a grocerant program assessment. Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven Johnson BING: steven johnson grocerants or Google: steven johnson grocerants.

What Do Consumers Think About Lunch at 7 Eleven? With ready-to-eat and ready-to-heat fresh prepared food becoming the fastest growing and most profitable sector in retail foodservice aka the grocerant niche.

7 Eleven is perfectly situated to capture a large share of the marketplace. I think 7 Eleven will experience strong sales growth as they roll out an integrated grocerant food program with distinctive differentiated food consumable’s as an entity with identity by day part. 7 Eleven’s successful food product branding has allowed them to own the flavored crushed ice niche with the Slurpee! They will do it by daypart with other food items as well. If success leaves clues keep your eye on 7 Eleven they are changing and changing fast.

With Quiznos desire to open 600 new locations within convenience stores highlights that the race for the share of stomach at lunch and dinner is only heating up. In a recently completed consumer proprietary research study Quiznos found that 54% of people eat lunch in 20 minutes or less. This works equally well for convenience store location and QSR’s.

With consumer multi-tasking more and more convenience stores with a plethora of food offering combined with other services may have an edge moving forward. According to the same study “ 75 percent of consumers are more satisfied when offered a variety of menu options to choose from; 60 percent of consumers say price is important when choosing between lunch options; 47 percent of consumers choose restaurants that are "earth-conscious"; and 76 percent of consumers take calories and nutrition into account when deciding on lunch.”

Grocerant ready-to-eat and ready-to-heat food is garnering the attention of the consumer. This niche is filled with better for you products that are portioned, priced and portable in ways that legacy operators have yet to understand.

Outside eyes can deliver top line insights and bottom line profits. Invite Foodservice Solutions to provide brand and product positioning assistance or a grocerant program assessment. Since 1991 Foodservice Solutions of Tacoma, WA has been the global leader in the Grocerant niche for more on Steven A. Johnson and Foodservice Solutions visit http://www.linkedin.com/in/grocerant or on Facebook at Steven Johnson